‘Wales must rise to the challenge of automation’
Wales must decide on the role it will play in the huge technology change the world is facing, according to CBI director-general Carolyn Fairbairn.
Speaking at Cardiff Business Club, she said automation will help make Wales a great place for business – but added that while the “fourth industrial revolution” is already creating opportunity for Wales, there are risks as well.
“Handled well, automation can be a rising tide that lifts the quality of working life in Wales, further increasing productivity and living standards,” said Ms Fairbairn. “But mishandled, it could wash work away. Wales needs to get this right.”
Ms Fairbairn said lessons can be learned from history and how Wales got the original Industrial Revolution right.
“It was automation that allowed Welsh industry to fuel the world and build prosperous communities around it,” she said. “The fourth industrial revolution could be as significant.”
So far, she believes, the signs are the country is getting it right, citing Wales’ growing expertise in technology, IT and engineering. Plus, she said, Welsh transport connections are good and getting better.
“And Wales has a brand with global appeal,” Ms Fairbairn added.
Ms Fairbairn said the CBI in Wales would like to see a Government-led review looking at the risks and opportunities., which parts of the economy need support and what training needs to be offered.
“It’s time for a new partnership between government and business to make sure technology works for Wales,” she said.
On Brexit, Ms Fairbairn said the CBI is not calling for a referendum re-run – “but we do want a new relationship with the EU that works for business”.
“Because this year is the year of hard choices, based on evidence not ideology. And what is best for jobs, prosperity and opportunity.”
Ms Fairbairn said Wales, like Northern Ireland, has close links to its nearest EU partner, the Irish republic. And much Irish trade passes through the sea borders at Holyhead, Fishguard and Pembroke Dock.
“So we’re calling for practical solutions to remain on the negotiating table,” she said.
“That might mean a system of managed alignment to EU rules. It might even require a customs union.
“We believe the evidence suggests this is a sensible option for the UK and the EU, until the potential for growth in new markets eclipses the loss of trade with the EU from leaving.”
Ms Fairbairn called for an unambiguous transition deal to be written in stone by March.
“We need a single shared plan from government following those negative Brexit impact assessments published last week,” she said.
“And we need a heads of terms agreement with the EU on the final deal by October.”
Cardiff Business Club is sponsored by Principality Building Society.